OML 113 Aje Field, Nigeria
Panoro Energy ASA has a 6.502% interest in OML113 which is operated by Yinka Folawiyo Petroleum (YFP) and is located in the extreme western part of offshore Nigeria adjacent to the Benin border. The licence contains the Aje field as well as a number of exploration prospects.
Aje Field was discovered in 1997, in water depths ranging from 100-1500m. Unlike the majority of Nigerian Fields which are Tertiary sandstones, Aje has multiple oil, gas and gas condensate reservoirs in the Turonian, Cenomanian and Albian sandstones, and as such has more affinity with the recent Jubilee and Tweneboa discoveries offshore Ghana. Four wells have been drilled to date on the Aje Field. Aje-1 and -2 tested oil and gas condensate at high rates. Aje-4, drilled in early 2008, logged significant pay and confirmed the presence of four productive reservoirs and the field has full 3D seismic coverage.
In March 2014 the government of Nigeria approved of the Aje Field Development Plan (“FDP”). Since then work has progressed towards a Final Investment Decision (“FID”) on the project. The FDP describes a development of the Aje Cenomanian oil reservoir via two subsea wells and a leased FPSO. The FDP mid-case reserves are 32.4MMbbls 41° API oil with production starting by the end of 2015 at a plateau of 8,000 bbls/day. Once production commences future phases of the project will likely involve additional Cenomanian oil wells targeting further Cenomanian contingent resources. A later Turonian/Albian gas condensate project is currently considered as a separate development in the future. Activity has progressed rapidly during the quarter with establishment of the project team in Lagos, identification of a FPSO vessel, drilling rig, ordering of key long lead item equipment and tendering for installation services.
In July 2014 Panoro received a revised Competent Person’s Report (“CPR”) from AGR TRACS for Aje reflecting the approved FDP activity. The CPR has certified gross 2P Proved and Probable Reserves for Aje Cenomanian oil development of 23.4 MMbbls post economic-limit-testing (“ELT”) and 1P Proved Reserves of 11.73 MMbbls post-ELT, both at $80/bbl oil price. The FDP project with the 2 well oil development was shown to be economically robust, as is the drilling of 2 additional Cemonanian wells to target a further 15.73MMbbls of Cenomanian 2C Contingent Resources. The total 2C Contingent Resources for Aje including the Turonian reservoir were certified as 202.36 Mmboe. The full Aje project, which includes development of the Turonain gas, condensate and oil as a third phase, was shown by the CPR to be very economically robust. The Aje partners anticipate making a Final Investment Decision (“FID”) during Q3 2014.
In Q1 2014 the OML113 Partners acquired approximately 1000km2 of new 3D seismic data over the license. Processing for the newly acquired 3D seismic data is underway with preliminary time migrated products expected during Q3. Final Pre Stack Depth Migration data is expected to be available at the end of Q1 2015. The seismic processing is being co-ordinated by First Hydrocarbon Nigeria Ltd (a Joint Venture Partner on the OML 113 license and a subsidiary of Afren plc) through their parent company Afren in conjunction with their neighbouring OPL 310 data.
It is expected that the new survey will provide a considerable improvement in data quality over the existing 3D data.
– Read More
Source: Panoro Energy ASA